The latest Los Angeles Times article on the state of local real estate suggests just that. The share of homes on the market for two months reached 44%, compared to 40% a year ago, and the median number of days on the market is up year over year.
While there's less investor demand, credit is still tight and the job market not quite where we'd all like it to be. The housing market in areas like Northeast Los Angeles seem to be fairly steady - especially compared to the price jumps we saw last year. Our weekly market reports are showing just that, while inventory is still lower than we'd like it to be (and lower than last year).